Letter to IFC: Metagro, Mongolia Follow-up (October 2024)

In September 2024, dozens of civil society organizations submitted a letter to the IFC Board to express concerns about a proposed $60 million investment in MCS Holding LLC and its subsidiary, Metagro LLC, in Mongolia. The letter outlines key issues with expanding Metagro’s factory farming operations, which could conflict with the World Bank Group’s commitments to environmental sustainability, biodiversity, and climate goals.

After a group call with IFC representatives in October, the groups followed up with a second letter outlining critical unresolved issues regarding the Metagro projects.

These issues include:

• Legal Risks: Potential violations of Mongolia’s constitutional right to a healthy environment and international commitments, including the precautionary principle and the Convention on Biological Diversity.
• Climate Concerns: The project’s significant greenhouse gas emissions contradict IFC’s Paris Agreement alignment goal, with no clear mitigation measures in place.
• Links to Russia: Concerns over sourcing from Russia, potentially breaching international sanctions.
• Biodiversity Impact: High risks to ecosystems and species like the Mongolian marmot.
• Animal Welfare: Lack of finalized policies raises doubts about compliance with claimed high standards.
• Food Security Misalignment: Focus on luxury meat production ignores Mongolia’s nutritional needs.

The group proposed another call to address their concerns and explore alternative, sustainable investments.

Use the link below to download and read the letter.